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HKScan Shifts Emphasis in Development to Sweden

06 March 2009

SWEDEN - Finnish based meat processor, HKScan, has resolved to start planning a new programme to streamline the business of the company’s Swedish arm Scan AB.

The Board said that a new programme is needed because the efficiency programmes implemented earlier at Scan AB or currently underway have not proved effective enough to bring the company's profitability up to the level it is seeking.

During the course of the earlier programmes, running since spring 2007, Scan AB has discontinued operations at the Visby cutting plant, the Uppsala and Skellefteå slaughterhouses and the production plants in Helsingborg, Malmö and Kävlinge.

Scan's Swinoujscie bacon plant in Poland has also been expanded and work started on a national distribution centre in Linköping slated to come online in 2010.

In the view of HKScan’s management, the central factors to improve competitiveness will be to adopt a leaner cost structure at Scan AB over the next three years, to raise the value-added of products and to improve the effectiveness of Scan’s commercial functions.

Scan AB’s size, firm market leadership and leading brands provide a solid foundation for future measures.

TheMeatSite News Desk

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